WHILE Government has lowered fuel prices in light of the drop in prices on the world market, President Donald Ramotar has reiterated his disappointment with many operators in the transportation sector who are not passing on the benefits to commuters.

“Unfortunately, many of those involved in the transportation sector have not passed on the benefit that they are getting at the pump to the consumer and I still urge them to do so, so that our people can benefit from this cheaper fuel price that we have” – President Ramotar

The prices for oil have fallen drastically since June 2014, resulting in the Government dropping gasoline and diesel costs by 30 per cent respectively, and kerosene by 42 per cent.With the reduction in fuel prices, it was expected that the fares charged by operators of public transportation would have been lowered, but this is yet to happen.
Minibuses fares for drops at different stages of a route remain at $80, $100 and $120 per person, while there have been no lowering of the various taxi fares, even though there have been calls from several quarters, including the private sector bodies, for the benefit to trickle down to the travelling public.
The United Guyana Minibus Union is contending that it is not practical to reduce the fares for public transportation, since the situation with prices of fuel on the world market is volatile.
ONE-WAY ENGAGEMENT
The fact that public transport operators justify an increase in fares when fuel prices go up was underscored by the Head of the Presidential Secretariat, and he noted that there seems to be a “one-way engagement” between fuel prices and fare structures.
“When fuel prices go up, there is a demand for increases in fare, but when fuel prices fall, it’s like pulling teeth to get fare increases to be rolled back,” he had said.
President Ramotar, speaking at the recent commissioning of the Vreed-en-Hoop power station, noted his displeasure about the situation.
“Unfortunately, many of those involved in the transportation sector have not passed on the benefit that they are getting at the pump to the consumer and I still urged them to do so, so that our people can benefit from this cheaper fuel price that we have.”

(By Tajeram Mohabir)